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PETROLEUM LEGISLATION MISCELLANEOUS AMENDMENTS BILL 2019

Serial 116
Petroleum Legislation Miscellaneous Amendments Bill 2019
Mr Kirby

A Bill for an Act to amend the Petroleum Act 1984 and the Petroleum (Environment) Regulations 2016

NORTHERN TERRITORY OF AUSTRALIA

PETROLEUM LEGISLATION MISCELLANEOUS AMENDMENTS ACT 2019

____________________

Act No. [ ] of 2019

____________________

Table of provisions

Part IA Principles of ecologically sustainable development

6A Principles of ecologically sustainable development
16A Determination of release of blocks
82A Jurisdiction of Tribunal for disputes
111 Certain operations prohibited
Division 4 Petroleum Legislation Miscellaneous Amendments Act 2019

126 Definitions

127 Application made for exploration permit before commencement

128 Decision in relation to renewal of exploration permit

129 Decision in relation to variation of condition of exploration permit

130 Decision in relation to renewal of retention licence

131 Decision in relation to variation of condition of retention licence

132 Decision in relation to renewal of production licence

133 Decision in relation to variation of condition of production licence

134 Construction undertaken before commencement

Schedule 1 Decisions subject to principles of ecologically sustainable development
5A Decisions subject to the principles of ecologically sustainable development

NORTHERN TERRITORY OF AUSTRALIA

____________________

Act No. [ ] of 2019

____________________

An Act to amend the Petroleum Act 1984 and the Petroleum (Environment) Regulations 2016

[Assented to [ ] 2019]

[Introduced [ ] 2019]

The Legislative Assembly of the Northern Territory enacts as follows:

Part 1 Preliminary matters
1 Short title

This Act may be cited as the Petroleum Legislation Miscellaneous Amendments Act 2019.

2 Commencement

This Act commences on the day fixed by the Administrator by Gazette notice.

Part 2 Amendment of Petroleum Act 1984
3 Act amended

This Part amends the Petroleum Act 1984.

4 Section 5 amended (Interpretation)

Section 5(1)

insert

environment, see section 6 of the Environment Protection Act 2019.

principles of ecologically sustainable development means the principles set out in sections 18 to 24 of the Environment Protection Act 2019.

5 Part IA inserted

After section 6

insert

Part IA Principles of ecologically sustainable development

6A Principles of ecologically sustainable development

(1) The Minister must consider and apply the principles of ecologically sustainable development in making the following decisions under this Act:

(a) the decisions specified in Schedule 1;

(b) a decision made under a direction given by the Minister under section 71(1);

(c) any other prescribed decision.

(2) Unless otherwise expressly provided, in making a decision under this Act and stating the reasons for that decision, the Minister is not required to specify how the Minister considered or applied these principles.

6 Section 16 amended (Application for exploration permit)

(1) Section 16, heading

omit

Application

insert

Release of blocks and application

(2) Before section 16(1)

insert

(1AA) This section applies if the Minister intends to release, under section 16A, specified blocks for exploration under an exploration permit.

(3) Section 16(1)

omit

all words from "may" to "Australia"

insert

must, by notice published in a newspaper circulating throughout the Territory

(4) After section 16(2)(d)

insert

(da) the reasons why the specified blocks are intended to be released for exploration;

(db) an invitation to give submissions on the release of the specified blocks for exploration;

(dc) the period during which submissions may be made is the same as the application period;

(5) After section 16(2)

insert

(2A) A submission under subsection (2)(db) is limited to the following:

(a) if there are other existing or proposed industries for a specified block – whether exploration of the specified block is possible at the same time;

(b) whether the land of a specified block is suitable for exploration.

Note for subsection (2A)(b)

The submission may submit that the land is not suitable for exploration because the land is:

(a) subject to intensive agriculture; or

(b) of high ecological value; or

(c) of high scenic value; or

(d) culturally significant; or

(e) of strategic importance to nearby residential areas.

7 Section 16A inserted

After section 16

insert

16A Determination of release of blocks

After the application period has ended, the Minister must:

(a) consider any applications received and any submissions received; and

(b) determine which blocks are to be released for exploration; and

(c) release the specified blocks for exploration; and

(d) publish, on the Agency's website, the decision under paragraph (c) and the reasons why the blocks are appropriate for exploration.

8 Section 18 amended (Notice of application for exploration permit)

(1) Section 18(1)(e)

omit

all words from "who" to "an application area"

(2) Section 18(3)

omit

9 Section 19 amended (Objections)

(1) Section 19(1)

omit

Subject to section 18(3), objections

insert

Objections

(2) After section 19(2)

insert

(2A) The Minister must, as soon as practicable after receiving the objections, publish the objections on the Agency's website.

10 Section 28 amended (Variation etc. of condition of exploration permit)

After section 28(1)

insert

(1A) An application under subsection (1) must be accompanied by the prescribed fee.

11 Section 41 amended (Variation, &c., of conditions of retention licence)

(1) Section 41, heading

omit

, &c., of conditions

insert

etc. of condition

(2) After section 41(1)

insert

(1A) An application under subsection (1) must be accompanied by the prescribed fee.

12 Section 55 amended (Variation, &c., of conditions of production licence)

(1) Section 55, heading

omit

, &c., of conditions

insert

etc. of condition

(2) After section 55(1)

insert

(1A) An application under subsection (1) must be accompanied by the prescribed fee.

13 Section 57A amended (Access authorities)

After section 57A(2)

insert

(2A) An application under subsection (2) must be accompanied by the prescribed fee.

14 Section 57ABA amended (Judicial review of decision or determination)

Section 57ABA

omit

the Schedule

insert

Schedule 2

15 Section 73 amended (Surrender)

(1) Section 73(1B)(a)

omit

he or she

insert

the permittee or licensee

(2) Section 73(1B)(b)

omit

Minister.

insert

Minister; and

(3) After section 73(1B)(b)

insert

(c) the prescribed fee.

(4) Section 73(1C)

omit

he or she

insert

the Minister

16 Section 81 amended (Compensation to owners)

(1) Section 81(1)(b)

omit

land.

insert

land; and

(2) After section 81(1)(b)

insert

(c) any other prescribed reason or circumstance.

Note for subsection (1)

If a permittee or licensee and a person entitled to compensation are unable to agree on an amount or other benefit, by way of compensation, to which the person is entitled, either party may refer the dispute to the Tribunal under section 82A.

(3) Section 81(3)

omit

(4) After section 81(7)

insert

(7A) The Regulations may provide for a method and manner of calculating compensation payable under this section.

17 Section 82 amended (Compensation for right of access)

(1) Section 82(2), at the end

Note for subsections (1) and (2)

If a permittee or licensee and a person entitled to compensation are unable to agree on an amount, by way of compensation, to which the person is entitled, either party may refer the dispute to the Tribunal under section 82A.

(2) Section 82(5) and (6)

omit, insert

(5) The Regulations may provide for a method and manner of calculating compensation payable under this section.

18 Section 82A inserted

After section 82

insert

82A Jurisdiction of Tribunal for disputes

(1) The Tribunal has jurisdiction to deal with the following disputes:

(a) if a permittee or licensee and a person entitled to compensation under section 81(1) are unable to agree on an amount or other benefit, by way of compensation, to which the person is entitled;

(b) if a permittee or licensee and a person entitled to compensation under section 82(1) or (2) are unable to agree on an amount, by way of compensation, to which the person is entitled;

(c) any other kind of dispute prescribed by regulation.

(2) A dispute mentioned in subsection (1)(a) or (b) may be referred to the Tribunal by either party.

(3) The compensation that may be payable to a native title holder under section 82 is not determinable by the Tribunal until there is an approved determination of native title that the holder holds native title in the affected land.

(4) A person entitled to compensation under section 82(1) or (2) includes a registered native title body corporate.

19 Section 111 replaced

Section 111

repeal, insert

111 Certain operations prohibited

(1) Subject to this section, a permittee or licensee must not:

(a) carry out operations, which would otherwise be permitted under this Act, on land that is:

(i) used as, or within 50 m of land being used as, a residence, yard, garden, orchard or cultivated field; or

(ii) used as, or within 200 m of land being used as, a cemetery; or

(iii) within a distance of 200 m of any artificial accumulation of water or any outlet from which water may be obtained; and

(b) construct a well, wellhead, pipeline or petroleum processing facility, which would otherwise be permitted under this Act, on land that is used as, or within 2 km of land being used as, a residence; and

(c) construct a well or well pad, which would otherwise be permitted under this Act, on land that is within 1 km of a designated bore.

(2) The permittee or licensee may carry out operations on land mentioned in subsection (1)(a)(i) or (iii) with the written approval of:

(a) the owner of the land or, if the occupier of the land has, in the land, an interest registered on the Register kept by the Registrar-General under Part 3 of the Land Title Act 2000, the occupier; and

(b) the registered native title body corporate in relation to the land.

(3) The permittee or licensee may carry out construction of a well or well pad on land mentioned in subsection (1)(c) with the written approval of:

(a) the owner of the land or, if the occupier of the land has, in the land, an interest registered on the Register kept by the Registrar-General under Part 3 of the Land Title Act 2000, the occupier; and

(b) the registered native title body corporate in relation to the land; and

(c) the owner of the designated bore.

(4) If the cemetery is a public cemetery, the permittee or licensee may carry out operations on land mentioned in subsection (1)(a)(ii) with the written approval of the Board of Trustees of the cemetery.

(5) In this section:

cemetery, see section 4 of the Cemeteries Act 1952.

designated bore, see section 60A(3) of the Water Act 1992.

owner, of a designated bore, see section 60A(3) of the Water Act 1992.

petroleum processing facility means a temporary or permanent facility for the processing or storage of petroleum.

pipeline means a pipeline constructed or to be constructed for a purpose mentioned in section 4(1)(e)(i) to (iv) of the Energy Pipelines Act 1981.

public cemetery, see section 4 of the Cemeteries Act 1952.

20 Section 117AAB amended (Interpretation)

Section 117AAB(1), definition environment

omit

21 Section 118 amended (Regulations)

(1) After section 118(2)(p)

insert

(pa) land access agreements;

(pb) environmental security;

(2) After section 118(6)

insert

(6A) In regulations for or in relation to land access agreements under subsection (2)(pa), the Administrator may provide for any of the following:

(a) the circumstances in which a land access agreement between parties is required;

(b) the parties who are required to enter into a land access agreement;

(c) the process to be undertaken by the parties to enter into a land access agreement;

(d) the minimum requirements of a land access agreement;

(e) the process to be undertaken if a land access agreement cannot be entered into between the parties;

(f) the consequence of a breach of a land access agreement;

(g) the requirement to maintain a register of land access agreements and the manner in which a land access agreement is registered;

(h) the liability of the parties to the costs associated with land access agreements;

(i) the requirement to maintain a register of persons with dispute resolution qualifications and the circumstances in which a person in the register would be required to assist the parties;

(j) the conferral of jurisdiction on the Tribunal to deal with a dispute arising from a land access agreement.

(6B) In regulations for or in relation to an environmental security under subsection (2)(pb), the Administrator may provide for:

(a) the circumstances in which an environmental security is payable;

(b) the amount of an environmental security payable;

(c) the manner in which an amount of the environmental security is determined;

(d) the manner in which an environmental security is varied;

(e) the manner in which an environmental security is payable;

(f) how an environmental security may be transferred;

(g) the circumstances in which an environmental security is released.

22 Part VII, Division 4 and Schedule 1 inserted

After section 125

insert

Division 4 Petroleum Legislation Miscellaneous Amendments Act 2019

126 Definitions

In this Division:

commencement means the commencement of Part 2 of the Petroleum Legislation Miscellaneous Amendments Act 2019.

127 Application made for exploration permit before commencement

Part II, Division 2, as in force before the commencement, applies to an application for the grant of an exemption permit for specified blocks under section 16(1) made before the commencement.

128 Decision in relation to renewal of exploration permit

The Minister is not required to consider and apply the principles of ecologically sustainable development in making a decision made under section 25(1)(a) or (b) or (2) or 27 in relation to an application under section 25(1) made before the commencement.

129 Decision in relation to variation of condition of exploration permit

The Minister is not required to consider and apply the principles of ecologically sustainable development in making a decision made under section 28(2) in relation to an application under section 28(1) made before the commencement.

130 Decision in relation to renewal of retention licence

The Minister is not required to consider and apply the principles of ecologically sustainable development in making a decision made under section 38(1)(a) or (b), (2) or (3) or 40 in relation to an application under section 37(1) made before the commencement.

131 Decision in relation to variation of condition of retention licence

The Minister is not required to consider and apply the principles of ecologically sustainable development in making a decision made under section 41(2) in relation to an application under section 41(1) made before the commencement.

132 Decision in relation to renewal of production licence

The Minister is not required to consider and apply the principles of ecologically sustainable development in making a decision made under section 52(1)(a) or (b), (2) or (3) or 54(1) in relation to an application under section 51(1) made before the commencement.

133 Decision in relation to variation of condition of production licence

The Minister is not required to consider and apply the principles of ecologically sustainable development in making a decision made under section 55(2) in relation to an application under section 55(1) made before the commencement.

134 Construction undertaken before commencement

Section 111, as in force after the commencement, does not apply to the following undertaken, but not completed, by a permittee or licensee before the commencement:

(a) construction of a well, wellhead, pipeline or petroleum processing facility on land that is used as, or within 2 km of land being used as, a residence;

(b) construction of a well or well pad on land that is within 1 km of a designated bore.

Schedule 1 Decisions subject to principles of ecologically sustainable development

section 6A

23 Schedule amended (Judicial Review of decision or determination)

(1) Schedule, heading, after "Schedule"

insert

2

(2) Schedule, after entry for section 16(1)

insert

Part 3 Amendment of Petroleum (Environment) Regulations 2016
24 Regulations amended

This Part amends the Petroleum (Environment) Regulations 2016.

25 Regulation 3 amended (Definitions)

Regulation 3, definitions environment and principles of ecologically sustainable development

omit

26 Regulation 4 repealed (Principles of ecologically sustainable development)

Regulation 4

repeal

27 Regulation 5A inserted

After regulation 5, in Part 1

insert

5A Decisions subject to the principles of ecologically sustainable development

For section 6A of the Act, the following decisions are prescribed decisions:

(a) a decision to approve a plan under regulation 11(2)(a)(i);

(b) a decision to give an interest holder a resubmission notice under regulation 11(2)(b);

(c) a decision to approve a plan modified in response to a resubmission notice under regulation 11(3)(a);

(d) a decision to give an interest holder a further resubmission notice under regulation 11(3)(b)(i);

(e) a decision to refuse to approve the plan under regulation 11(3)(b)(ii);

(f) a decision to give notice to an interest holder under regulation 14(b) specifying that the holder's notice is accepted and the plan has ceased to be in force;

(g) a decision to give an interest holder a revision notice under regulation 19(1);

(h) a decision that a revision is no longer required under regulation 20(2)(a);

(i) a decision to require a revision under regulation 20(2)(b);

(j) a decision to revoke the approval of a current plan under regulation 27(1).

28 Regulation 9 amended (Approval criteria for plan)

Regulation 9(2)

omit

Part 4 Repeal of Act
29 Repeal of Act

This Act is repealed on the day after it commences.

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